What Are Day Traders?
Simply put, day traders buy and sell financial instruments within the same day. This trading strategy targets daily fluctuations, and the main objective is to make large short-term profits. There are many day trading strategies – including swing trading, scalping, and fading –depending on your goals and risk profile; some may be preferable.
However, one common factor among all-day trading strategies is day trading platforms. Whatever your strategy, the trading platform you choose has to offer the most up-to-date stock data and alerts so you don’t miss out on potential profits.
In this summary, we review some of the best trading platforms for day traders – for a more detailed comparison, check our full list of the best day trading platforms.
1. TradeStation
Launched in 1991 as part of the Omega Research family of financial products, TradeStation is an award-winning online brokerage and research platform, and our top recommendation for any aspiring day trader.
TradeStation offers some of the lowest trading fees in the industry, starting at $0.6-$1.5 for options and futures contracts and no fees for stocks and ETFs. With TradeStation, you can access real-time data for all supported assets using dynamic market scanning tools, visualize with customizable charts and trading indicators, and trade using advanced order management tools.
TradeStation also offers educational resources and articles. As you gain experience, you can gradually start using advanced features like the Trading Simulator, The Matrix – an advanced one-click order entry tool and tracking app –and more. TradeStation was voted in 2022 as the best multi-asset broker, and it continues to impress.
Pros
- Supports stocks, ETFs, options, futures, and crypto
- Access real-time market data
- No minimum deposit
- Practice trading with the Trading Simulator
- Comprehensive educational resources
- Available on Android and iOS
Cons
- Making a deposit can be difficult
Pricing
- Stocks & ETFs: No commissions
- Options & Futures Contracts: From $0.6 to $1.5 per contract
2. Edgewonk
Edgewonk is a web-based online trading journal that allows traders to keep track of all their portfolios and investments in one place. With Edgewonk, you can keep track of all your assets, and as a beginner, you will benefit from having easy access to charting tools and detailed reports.
Edgewonk is compatible with 23+ of the most popular brokers – including our number one recommended trading platform for beginners: TradeStation –and imports your trading data automatically.
Edgewonk is available on desktop and mobile devices and supports stocks, forex, futures, CFDs, and crypto assets. Edgewonk works for all markets and currencies. Some of the most valuable features for beginners are the Trade Management Optimizer, which helps you find how to optimize trade exits, and the Backtester, where you can test trading strategies safely.
Pros
- Synchronize your trading data from 23+ brokers
- Track all your investments from the Edgewonk Dashboard
- Access a Backtester Environment & Futures Simulator
- Improve your performance with emotional analytics
- Visualize your trades with beautiful charts
- The app is available on Android, and iOS devices
Cons
- Limited support for trading platforms
- Only offers an annual subscription
Pricing
- Edgewonk Subscription: $169/year
3. Tradervue
Tradervue is a trading journal that will help improve your trading performance. Tradervue is compatible with 82+ online brokers – including some of the largest, like Charles Schwab, Fidelity, and TradeStation –and after you sync it, all your trade will be automatically imported to your preferred Tradervue Journal.
Tradervue offers three categories of features: journaling, analytics, and sharing. Journaling features include auto-importing, automatic price charts – using your real-time trading data –and the Tradervue Dashboard, from where you can keep track of all your investments at a glance. With the analytical and sharing features, you’ll have access to advanced reports and portfolio risk analysis tools, plus coaching/mentoring with professional day traders.
For beginners, we recommend using Tradervue alongside TradeStation, one of the more intuitive online brokers with an easy-to-use interface and free educational resources.
Pros
- Auto-import your trades from 82+ brokers
- Journaling and analytics performance tools
- 8+ advanced reports
- Track stocks, forex, options, and futures
- Affordable subscriptions & free plan
- Coaching/mentoring feature for beginners
Cons
- The free account is very limited
Pricing
- Tradervue Basic: Free
- Tradervue Silver: $29/month
- Tradervue Gold: $49/month
Conclusion
For day traders, pickings the right trading platform is one of the most important steps you will ever make – regardless of trading strategy, scalping vs. day trading, or another altogether. The reason is that for every trade, most online brokers charge a commission – a percentage or a flat fee – that adds up if you’re constantly buying and selling. For those reasons, we recommend TradeStation as the most versatile option with the lowest fees.
FAQs
What Type Of Day Trading Is Best For Beginners?
The best day trading strategy for beginners is swing trading. Swing traders use smaller position sizes compared to day traders, and it offers the highest rewards. The main difference between day and swing trading is that day traders never hold positions overnight, as they may incur additional fees, while swing traders may sometimes hold positions for multiple days or weeks.
How Much Money Do I Need To Start Day Trading?
In the US, the Financial Industry Regulatory Authority (FINRA) requires pattern day traders to have at least $25,000 in their account at all times – this can be a mix between cash and other eligible securities. Keep in mind that if you fall below the $25,000 threshold, you may not be able to trade.
Is Day Trading Profitable For Beginners?
Yes – day trading can be very profitable, with average annual salaries ranging from $35,000 to $100,000 in the US. Keep in mind day trading requires a lot of effort and is very time-consuming – especially when you’re just getting started.
Disclaimer: This article contains sponsored marketing content. It is intended for promotional purposes and should not be considered as an endorsement or recommendation by our website. Readers are encouraged to conduct their own research and exercise their own judgment before making any decisions based on the information provided in this article.
